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Alternative Fuels

GMF: Ammonia set to become most affordable alt bunker fuel option from late 2030s

New insight brief from Getting to Zero Coalition and GMF found dual-fuel ships running on LNG and ammonia will be the most cost-competitive options before the mid-2030s, with ammonia taking the lead from around 2037.
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A new insight brief from the Getting to Zero Coalition and the Global Maritime Forum found that the International Maritime Organisation’s (IMO) new policy measures are ambitious enough to drive a transition to scalable zero-emission fuels but will ultimately only succeed if they include meaningful rewards and, over time, higher penalties for non-compliance.

The brief, ‘IMO’s policy measures: What’s next for shipping’s fuel transition?’, uses total cost of ownership (TCO) modelling by UMAS and UCL and more than 30 stakeholder interviews to analyse the sector’s capital investment and operational options following the IMO’s adoption of global fuel intensity (GFI) factors and penalties for non-compliance. When adopted, those steps will make shipping the first industry with globally binding greenhouse gas regulations and emissions pricing.

While multiple compliance pathways exist today, the increasing GFI stringency and higher penalties will progressively favour scalable zero-emission fuels, pushing the industry away from fossil fuel-based options such as liquefied natural gas (LNG) and toward e-fuels based on green hydrogen.

While the analysis finds that e-fuels have the highest potential for shipping to achieve its long-term decarbonisation targets, early uptake and value chain development are needed if they are to reach commercial viability in time.

“The IMO’s new framework is a historic step forward, but unless e-fuels become competitive early on, there is a risk that the sector will run into bottlenecks as its decarbonisation efforts scale up,” Jesse Fahnestock, the Global Maritime Forum’s director of decarbonisation, said. “The industry can no longer afford to do nothing.”

The analysis shows that dual-fuel ships running on LNG and ammonia will be the most cost-competitive option before the mid-2030s, and that ammonia will become the cheapest from then on. However, this is mainly driven by blue fuels— which use hydrogen produced from fossil fuels with carbon capture—as synthetic e-fuels remain insufficiently incentivised before 2040.

The TCO modelling finds that even without targeted rewards to spur e-fuel uptake, conventional fuel is likely to be significantly more expensive than LNG and ammonia in the next decade. LNG will have the lowest comparative cost between 2030 and 2035, though this could be extended to 2037 through the use of onboard carbon capture and storage. Ammonia, specifically blue ammonia, is set to become the most cost-competitive option from 2037.

Given the long life spans of these investments, this is likely to make orders of dual-fuel ammonia vessels the competitive choice already today. To ensure that scalable e-fuel alternatives are made ready in time, however, the IMO guidelines must define rewards that ensure their competitiveness today.

“When considering the long-run demands of decarbonisation, ordering dual-fuel vessels capable of running on e-fuels already looks like a smart decision. But future adjustments to the policy can do a lot to encourage investment in e-fuel production facilities,” Fahnestock said.

Note: The full insight brief can be found here. 

 

Photo credit: william william on Unsplash
Published: 2 June, 2025

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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July 21, 2026

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.
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July 21, 2026

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.
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July 21, 2026

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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